In today’s society, the term stakeholder has become a catch-all label for anyone who has an interest in a decision or issue. But what’s actually behind this seemingly innocuous word?
In this post, we look at the definition and history of the word stakeholder, and the reason it shouldn’t be used in an Indigenous context.
What is a stakeholder?
Let’s start with the meaning of stakeholder. According to several dictionaries, a stakeholder is someone who is concerned with the outcome of something but doesn’t necessarily have the power to influence it.Footnote 1 In the context of a proposal, undertaking, policy or project involving Indigenous communities, is this really an apt description?
Are Indigenous Peoples stakeholders?
The short answer is no. “Aboriginal” rights, as they are expressed in the Constitution Act, 1982, are recognized by the Government of Canada to include an inherent right of self-government.Footnote 2 This right is based on the view that “the Aboriginal peoples of Canada have the right to govern themselves in relation to matters that are internal to their communities, integral to their unique cultures, identities, traditions, languages and institutions, and with respect to their special relationship to their land and their resources.”Footnote 3
Such constitutionally recognized rights necessarily imply that Indigenous Peoples have more than a mere interest or “stake” in issues relative to their communities and their land.
With this established, let’s take a look at some sources that explain how stakeholder is understood when used in the context of Indigenous Peoples.
On its blog, Indigenous Corporate Training Inc. offers the following:
Indigenous Peoples are “rights and title holders” not “stakeholders” so avoid this term at all costs. …
… Indigenous communities are not mere stakeholders, they are Rights holders. And that’s the term that should be used. You stand to offend them if you call them stakeholders.Footnote 4
Gary Pritchard states the following:
“Stakeholder” is a commonly used business term that should be avoided at all costs when working with First Nations communities. …
In this context, First Nations people are not merely stakeholders – they have constitutionally protected rights and are used to dealing with Canada, provinces and territories on a Nation-to-Nation basis.Footnote 5
What is the history of the word “stakeholder”?
The term stakeholder is therefore inaccurate in contexts related to Indigenous Peoples. But the deeper problem lies with the very history and roots of the term.
Stakeholder originally referred to someone who had an interest in the outcome of a bet,Footnote 6 but it took on a darker meaning with the arrival of Europeans in what is now Canada.
The Government of British Columbia provides the following information:
“Stakeholder” is a common corporate term for partners which has negative connotations to many Indigenous Peoples. When land acquisition was happening, this term referred to the allotment of land to settlers. Settlers were given wooden stakes to claim their plot of land prior to any treaty or land negotiations with Indigenous Peoples.Footnote 7
The Research Impact Canada site offers the following explanation:
The issue with the word stakeholder is that in a colonial context, a stakeholder was the person who drove a stake into the land to demarcate the land s/he was occupying/stealing from Indigenous territories. Continued use of the term can be construed as disrespectful of Indigenous people as well as perpetuating colonization and re-traumatization.Footnote 8
The word stakeholder therefore has obvious negative connotations in an Indigenous context, and should not be used in referring to Indigenous Peoples, individuals or communities. Given its colonial roots, it’s best to avoid this term.
What alternatives can replace the word “stakeholder”?
From a practical standpoint, the term stakeholder is simply inaccurate for referring to Indigenous Peoples, because their interests extend beyond the outcome or lifespan of a given business, proposal or project. And from a cultural and human standpoint, use of this term may offend some individuals.
The best approach is to consider what you mean by stakeholder in a particular context and to use a suitable alternative. Are you referring in a formal sense to rights holders? Perhaps you want to engage interested parties, relevant groups or partners. Or maybe you’re seeking input from members of the community.
Ultimately, the most appropriate term is the one that’s culturally sensitive and that accurately describes the people you’re trying to connect with.